karthikrao (B.com CS(inter) -ongoing) (170 Points)
30 August 2020
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 30 August 2020
Who is the creditor? Head office?
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 30 August 2020
Accounting Entries in the books of Head Office (H.O.):
1.
For Cost Price of Goods sent to Branch:
Branch Stock A/c Dr
To Goods Sent to Branch A/c
2.
For Cost Price of Goods returned by Branch:
Goods Sent to Branch A/c Dr
To Branch Stock A/c
3.
For remittance to Branch for expenses:
Branch Cash A/c Dr To Bank A/c
XXX
XXX
4.
For cash sales at Branch:
Bank A/c [(or) branch cash, if money is not immediately remitted] Dr
To Branch Stock A/c
XXX
XXX
5.
For credit sales at Branch:
Branch Debtors A/c Dr
To Branch Stock A/c
6.
For Goods returned to Branch by customers:
Branch Stock A/c Dr
To Branch Debtors A/c
7.
For Cash collected from Branch Debtors:
Bank A/c [(or) branch cash, if money is not immediately remitted] Dr
To Branch Debtors A/c
https://castudyweb.com/wp-content/uploads/2019/05/Branch_Accounts_Theory_and_Problems.pdf
karthikrao
(B.com CS(inter) -ongoing)
(170 Points)
Replied 30 August 2020
yasaswi gomes
(My grammar is 💯 good I)
(7290 Points)
Replied 30 August 2020
If the HO had recognised sales in HO and wanted branch to deal with debit note to save taxes, I think the law will prohibit such transactions.
Live Course on Invoice Management System (IMS) - 2nd Batch(With Recording)
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